Over the last decade, Portugal has been strongly committed to attract more and more foreigners who are looking to invest in real estate abroad.
This strategy has been fundamental for Portugal to establish itself as one of the most sought-after countries in the world, occupying top positions annually in international rankings of the best places to live and to retire.
This huge demand is directly related to several programmes that were created to attract foreign investment, joining Portugal's natural characteristics (mild climate, delicious food, hospitality...) to a series of very competitive incentives offered to foreign investors.
For a period of 10 years, the Non-Habitual Resident Status allows non-residents in Portugal to be taxed at a fixed rate of 20% of IRS (personal income tax), as well as double taxation for pension incomes or for employment and self-employment income obtained abroad.
To be eligible for the Non-Habitual Resident Status the applicant cannot have been a resident in Portugal for the last 5 years, and must meet other criteria that would allow them to register at the local tax office as a tax resident in Portugal.
Portugal also offers the possibility of foreign investors to apply for a residence permit through investment activities, such as transferring capital, creating jobs or acquiring Portuguese real estate in very specific situations.
Especially designed for third country nationals, this programme allows investors to live and work in Portugal without the requirement of a residential visa, travel within the Schengen area, amonst other advantages.
The Portuguese are proud of their heritage and in recent recent years there has been a drive to protect and restore old buildings as a celebration of that heritage. European towns and villages have experienced desertification by the younger inhabitants who were moving to the outskirts of the town, leaving behind an ageing population. Portugal has been no different in this regard, and the Portuguese government has intervened with the support of local municipalities to reverse this cycle, creating special incentives to promote the rehabilitation of urban centres in partnership with the private sector.
These initiatives include programmes such as IFRRU 2020, a financial instrument aimed to support investments in urban renewal, that covers the entire Portuguese territory.
For additional information, please contact us. Sofia Cardoso, our Accounting and Tax specialist at Portugal Accounting, will provide you with professional accounting and tax-related services.
Portugal Accounting counts on several years of experience working with foreign clients and will help you not only transition to a simple life but make the most of the benefits offered by Portugal.
Our team of highly qualified professionals offers experience and specialization in different areas. Contact us to know more about our services or how we can help you maximize your investments in Portugal.
If you are looking for houses, apartments or plots of land for sale in the Algarve or Silver Coast regions of Portugal, you have come to the right place!